43 -----.. . ....:. -- "'............. .. ..." I I 'ì r., ." l' r I .4 4 L 1 ----- . -- -------- " /\ \ \ " J . · ________ I -., "'7' "....;'. ,,... , \. ",' '-Ç'... . , -- r , ...,.. ., v.............,.'. rtA f $'> .. M:'!t 7 " 'I - " \ · ;. ; > \.... {id ., , /. \ ..;'t . \ J ,. N "!o- Q IA <tJ ''''.. .. I j --);: :.,. . r :-:" If.L / / ..... - 1III'"1:ir - - \ . .r:.( \ 1 ' I .(e' - -, , .y ,?" - j -? i I /t /- " , j'" ,/ .... 'i//) '.' -'" 4 -.:;;.... ð -....... ........................ . A- W' .P',... -- ,/ ." :a- - :.....,'." 1 jA ..... it' .,1 , fu t I" I , t &" '., I . , ...!? :..;.. -- --.. ., -- ø -:... "^'> A J \ .. ? "' " .....".,.,' . ... . '.... >.. ." ,.P- I "'^ I --. :' ,. :J --.. .... % I, t ' .. k ' . Ji! . g 4- ' í - 1 1 ! ì . "" ((Dang tt) Ellie) what were those n emortes we stored up for our sunset years?" . . procedures alone could not do the job of reform, saying that "in the last analysis it will be in the tone and atti- tude of top management that the eradi- cation [of improper political activities] will be ensured in the future." The personnel, as wel1 as the tone 'lnd attitude, of top management was the principal question at issue when the Gulf board of directors met in Pitts- burgh in mid-January of this year, shortly after it had received the Mc- Cloy report. The meeting turned out to be a corporate thriller. Nearly all the Gulf executives who had been men- tioned as accomplices in the testimony of Bounds, Wild, Viglia, and others were by this time either dead, like Whiteford, or retired, like Bounds, Wild, and Vigha. But a few were not, and among these was Dorsey, the com- pany's chairman and chief executive of- ficer. The Gulf board, meeting for a total of more than twenty-three hours, in two sessions, hetween the afternoon of January 12th and the early morning of January 14th, devoted its marathon deliberations almost entirely to the question of whether Dorsey and three other Gulf executives should be forced to resIgn. The McCloy committee's conclu- sions ahout Dorsey's involvement had been equivocal. While Dorsey had free- ly admitted hIS personal negotiation and authonzation of the two Korean pay- ments, totalling four million dollars, the committee concluded that he had apparently known nothing of the Ba- hamas Ex. secret account or its suc- cessor, and that the evidence fell short of demonstrating that he had known of Wild's unlawful political activities, but that concerning the latter he "was not sufficiently alert and should have known," and he "perhaps chose to shut his eyes to what was going on." With that judgment as a starting point, the board settled down, In closed session on the thirty-first floor of the Gulf Build- ing, in Pittsburgh, to decide Dorsey's fate. According to Byron E. Calame, the 111 all Street Journal's man on the spot, it quickly developed that five di- rectors who were considered represent- atives of the Mellons-the economic royalty of Gulf 1.nd of Pittsburgh it- self-were bent on getting Dorsey's resignation, and were unwilling to have the blow softened by any face-saving compromise such as a "Ford-type par- don." With Dorsey and E. D. Brock- ett, another board member who had been Inentioned by the McCloy com- mittee as having been "involved," not participating in the deliberations for obvious reasons, the board consisted of twelve members, with the result that the Mellon block fell only two votes short of a majority. However, accord- ing to Calame, three other directors were equally adamant about keeping Dorsey In office; and Dorsey's lawyers were present to plead his case. As the hours wore on, in an at- mosphere described by participants as "brutal" and like that of a jury room, the Dorsey forces gradually gave ground, suggesting compromise plans under which Dorsey would remain in office wIth reduced authority until his normal retirement, in 1978. These plans were rejected. In the end, a key vote-if not, indeed, the swing vote- belonged to a director who, it seems safe to say, had been nominated with Dorsey's approval, and elected by Gulf stockholders the previous April, with no thought that nine months later she would all but hold the chairman's fate in her hands. She was Sister Jane Scully, president of Carlow College, a local liberal-arts institution for wom- en, who had been elected in conformity with the current custom in corporate circles of putting a token, and pre- sumably harmless, woman on the board. Sister Jane started out neutral, according to Calame, but eventually swung to the anti-Dorsey side. At last, at 1: 15 A.M. on the fourteenth, the meeting waS adjourned and the results were announced: Dorsev was to resign that same day as chief executive officer and from the board; "Tilliam L. Hen- ry and Fred Deering were to resign their posts as president of Gulf's real- estate subsidiary and Gulf's senior vice-